Preparing for a Covid attack on your family

What separates Covid from other killers like Cancer is that it spreads. If there was an earthquake you could rush help to that place—clothes, food, cash, etc.

For representational purposes

What separates Covid from other killers like Cancer is that it spreads. If there was an earthquake you could rush help to that place—clothes, food, cash, etc. When one family member is hit by cancer it is sad, but you do not have to worry about cancer impacting others. Covid/Corona/ whatever name you want to give it, is different. So, what do you need to do? 

•  Make a will. Anybody who has Real Estate holdings in their name has to make a will. Even if you are a joint holder, it is necessary to make a will.  Make sure that your name is the same across all the documents that you have—Pan, Aadhar, bank account, mutual funds, and all other assets and liabilities. 

•  Make sure that your Pan and Aadhar are in sync. After a person dies, you will realize that a Vishwanath and a Vishvanath are different in law. If your name is Rajesh Vinod Patel, make sure that it is the same in every document—Rajesh V Patel is different for the lawyers. The name is a bigger problem for women. Iif you have changed your name after your marriage, please ensure that it is incorporated in all the official documents. Check the spelling too! 
•  All investments should be in ‘Either or Survivor’ mode, with both your children as nominees. I would never have said this but for the Covid deaths where more than one family member dies. Deaths are bad, the gap between is more cruel. 
•  Most of us do not nominate bank accounts too. ‘When it is a 2-person holding, why bother?’ Wrong. Covid has made us take a re-look at this too. 
•  Your children over 14 should be involved in all the documentation. Do the documentation, and explain to them what you are doing and why you are doing it. They may suddenly have to become men/women and handle the ‘grown-up’ situation. No, it is not easy, but at least they will feel better prepared if you go ahead and brief them. 
•  Check your Term Life Insurance and Medical insurance. The first thought that comes to a person when they are hit by an illness is “I wish I had more life/medical Insurance”. So go and check your Medical and Term-Life insurance. Take a little extra if you feel like it. Paying a couple of thousand rupees will not kill you. Once the pandemic is over, THROW it away if you think so. I keep saying “No widow ever told me that her husband was over-insured”. All of us like the claims received, but we hate paying the premium. 
•  Involve your lawyer, Chartered Accountant, sibling, and own children, especially if they are under 20 years of age. However, it is your call. There is no “one right answer” here. 
•  Sit with your family and explain all the investments—why, where, value, the name of the agent, when to sell, how to sell (redeem). I would do it this way. If the husband looks after all the investments, he should explain it to his wife. The wife should explain the nuances to the kids, in the presence of the husband. This is the best way to ensure that all of them are in the same boat.  

Like they say, there are a lot of things to be done, but let us make a decent start with these 8 points?

PV subramanyam
writes at www.subramoney.com and has authored the best seller ‘Retire Rich - Invest C 40 a day’